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By Cheng Chih-fang and Sam Garcia / Staff reporter, with staff writer
The Legislative Yuan’s Finance Committee today approved proposed amendments to the Amusement Tax Act (娛樂稅法) that seek to abolish the amusement tax on films, cultural activities and competitive sporting events, retaining the fee only for dance halls and golf courses.
The proposed amendment would set the maximum tax rate for dance halls and golf courses at 50 and 20 percent respectively, with local governments authorized to suspend the tax depending on circumstances.
The current act defines six types of amusement places, facilities or activities: movie theaters; professional singing, storytelling, dancing, circus, magic shows, acrobatics shows and night club performances; drama and musical performances, and amateur singing or dancing; skill competitions and contests; dance halls; golf courses; and other places that provide facilities for recreation or entertainment of others.
Photo: CNA
The Executive Yuan proposed cutting the maximum tax rate for all these categories except golf courses at least in half and authorizing local governments to suspend taxes on arts, culture and sporting activities.
In its preliminary review, the Finance Committee today approved abolishing the amusement tax for the first four categories and retaining it for the latter two.
In addition, for venues, facilities or activities designated by the Ministry of Finance as providing amusement, the maximum tax rate may not exceed 25 percent, the committee said.
It also approved authorizing local governments to suspend the collection of the amusement tax based on industrial development, policy needs and fiscal conditions.
Such suspensions must be approved by the relevant local representative body, reported to the Ministry of Finance and specify a suspension period.
